Thursday, July 2nd33.7°C
25993
26096

Norwegian goes black tie, buys high-end cruise line Prestige in deal valued at $3 billion

NEW YORK, N.Y. - Norwegian Cruise Line is sailing into the luxury sector by buying the high-end Prestige Cruises International in a deal valued at about $3 billion, including debt.

The deal will give Norwegian access to Prestige's eight ships on the Oceania and Regent Seven Seas cruise lines and its big-ticket vacation packages. Norwegian, which owns 13 ships, is known for its "Freestyle Cruising" that lets travellers choose where they want to eat and at what time.

Buying Prestige will help Norwegian be more competitive with its larger rivals: Carnival Corp. owns luxury cruise lines Cunard and Princess, while Royal Caribbean Cruises Ltd. owns Celebrity Cruises.

Norwegian, which is based in Miami, values the cash-and-stock deal at $3.03 billion when debt is included. The company declined to specify how much debt it would be taking on. Shareholders including private equity firm Apollo Global Management LLC, Prestige's majority owner, could get another $50 million in cash if certain performance targets are reached.

Apollo also owns about 20 per cent of Norwegian, whose shares rose 11 per cent Tuesday.

The two other big Norwegian shareholders, Genting Hong Kong Ltd. and TPG Capital, have already signed off on the deal. It's expected to close in the fourth quarter.

Shares of Norwegian Cruise Line Holdings Ltd. rose $3.68 to close at $36.99 Tuesday.

The Canadian Press


Read more Business News




Recent Trending




Today's Market
S&P TSX14637.99+84.66
S&P CDNX671.58+0.09
DJIA17730.11-27.80
Nasdaq5009.21-3.91
S&P 5002076.78-0.64
CDN Dollar0.79730.00
Gold1163.80+0.80
Oil57.15-0.55
Lumber288.40+0.40
Natural Gas2.838+0.016

 
Okanagan Companies
Pacific Safety0.165+0.005
Knighthawk0.010.00
QHR Technologies Inc1.55+0.03
Cantex0.05+0.01
Anavex Life Sciences0.455+0.004
Metalex Ventures0.075+0.010
Russel Metals22.87+0.14
Copper Mountain Mining1.14-0.02
Colorado Resources0.065-0.015
ReliaBrand Inc0.006+0.000
Sunrise Resources Ltd0.04+0.01
Mission Ready Services0.16-0.03
Decisive Dividend Corporation2.50+0.42

 



26594

FEATURED Property
2349574#306-3767 Brown Road
2 bedrooms 2 baths
$229,900
more details
image2image2image2
Click here to feature your property
Please wait... loading


Active listening

Has this ever happened to you? You had an initial meeting with a prospect. You asked that prospect what seemed to be all the right questions. You had what felt to you like a good conversation, and bas...


The price of money

Money is not a commodity. By definition, a commodity is a generic product that is bought and sold on price alone. Money, Canadian bills for example, look the same, smell somewhat the same, and are ava...


TFSA strategies

Photo: Thinkstock.comThe federal government has increased the annual contribution limit of Tax-Free Savings Accounts (TFSA) to $10,000. Going forward, the annual limit will no longer be indexed to inf...

_





26370


Member of BC Press Council


25831